Costco profit surges 39%, beating expectations
Issaquah, Wash. -- Costco Wholesale Corp posted a better-than expected 39% increase in quarterly profit, helped by increasing sales and a rise in membership fees.
Net income was $547 million in the fiscal second quarter ended on Feb. 17, compared with $394 million a year ago.
“Costco continues to outperform its peers in terms of overall sales growth, comparable club gains, and space and SKU productivity,” commented Sandy Skrovan, U.S. research director. “The retailer’s ability to keep members engaged and coming back for more is unparalleled. It has some of the most loyal customers across retailing.”
The company's net sales for the quarter rose 8% to $24.34 billion. Total same-store sales rose 5%
Membership fee revenue increased 15% to $528 million in the second quarter.